Analysis of Business Environment and Funding Options: Fish & Chip Shop

This report provides a comprehensive analysis of the business environment surrounding a local Fish & Chip shop, focusing on its operations near a primary school. The analysis begins with defining the business environment and its impact on the enterprise, emphasizing the need to adapt to market competition and customer preferences. It then delves into a PESTLE analysis, examining the political, economic, social, technological, environmental, and legal factors influencing the fast-food industry, particularly in the UK market. The report highlights factors such as GM labeling, economic recessions, health consciousness, technological advancements, and environmental regulations. Finally, it explores various funding options available to Fish & Chip shops, including bank loans, non-banking financial corporations, and government-led programs, considering the current economic climate. The conclusion summarizes the key findings, emphasizing the importance of internal and external factors and the application of the PESTLE model to understand the business environment.

STRUCTURE
OF BUSINESS

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
1. Define the concept “Business environment' in the context of local fish and chip shop. ...1
2. Describe the Analytical model of the Local fish & Chip shops.........................................1
3. Identification and discussion on funding options for monies in relation to Fish & Chip
shops. ....................................................................................................................................3
CONCLUSION................................................................................................................................3
REFERENCE...................................................................................................................................4

INTRODUCTION
The present assignment is based on activities related to Fish & Chip shop, situated 900 yards
away from the primary school which has been opened recently. They are operating their function
as a local business (Birch and et.al.,2018). The main aim is to bring changes in the perception of
customers towards fast-food and bringing development in adopting healthy eating habits.
1. Define the concept “Business environment' in the context of local fish and chip shop.
The environment of business is largely affected by both internal and external factors.
This is majorly affecting the working of enterprise. The term business environment is helpful in
sustaining the firm for a longer period in the market. By focussing over the key challenges such
as changes in technology and production of diversified menu, the firm is expected to attract large
number of customers (Birch and et.al.,2018). By building a trustworthy relationship with
customers, there is a need to form strong business with guaranteed success. In the present
market, there is an overgrowing number of fast food outlets which creates major competition in
the market. The food must be excellent and it is must be within affordable price range. In order
to increase sales, there is a need to focus on both external and internal functioning of the firm.
2. Describe the Analytical model of the Local fish & Chip shops.
PESTLE is a framework which is used to analyse and monitor the external functions of a
market where this tool is used to track the environmental factors. It will assist in addressing the
factors that are largely affecting the business procedures. It is helpful to identify the major
threats and weaknesses of the business enterprise. According to the present scenario, there are
various trends which affect the fast food industry. By adding healthier option, they are able to
capture a long term share in the market. The Fish & Chip shops are targeting low to medium
scale enterprises.
1. Political- The political factors are affecting the working of the enterprise. In UK market,
it is essential to have GM labelling so that the customers can stay informed about the
quality of the ingredients that are being used. With the help of this, the customers are able
to make decision that whether to buy such products or not (Goffe and et.al., 2018). The
political factors strongly affect the market related decisions.
2. Economic factor- This also affects in a negative manner. In this, it can be seen that at the
time of recession, the fast food ventures did a better business as compared to other
expensive restaurants with a vital role of pricing. To cope with this, there is a need to
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adopt franchising that will be beneficial to sustain the brand image of the firm. In UK,
there are number of fast food enterprises who are taking initiative to develop efficient
customer service. After Brexit, business performance of UK has negatively affected. In
this manner recession has largely affected the working of Fish & chips.
3. Social- The fast food chain like Fish & Chip shops are need to put their major
consideration over the requirements of the society. Here, the people are health conscious
to ignore the issues of obesity by focussing upon healthy diet (Machado and et.al., 2018).
In this manner the firm need to provide those products which are lower in calories or high
in vitamins. The Fish & chip shop need to provide quality products to their customers.
The changes in social trends of UK is affecting the fast food industry. In order to cope up
with this the wants of customers need to be known.
4. Technological- This is one of the growing industry in UK market. Therefore, the
technology plays the essential role in order to have ongoing success in market. They need
to make modification in relation to order tracking and billing system so that customer can
have fast services. The market of UK can be developed if the firm will be enhancing the
use of technological equipment’s. The fast food industry need to use technology products
for better creation and alteration.
5. Environmental- In this the price of resources like coal and oil are rapidly increasing, due
to this the transportation cost of firm are rapidly increasing. The environment friendly
company has good image in the mind of customers. In UK the quality parameters in
relation to food are becoming stiffer day by day. The fish & chip shop need to innovated
the technique as
6. Legal- The Fast Food chain like Fish & Chip shops need to adopt the proper health and
safety guidelines as they are associated with the food business. The fast food industry
need to follow certain regulation imposed by the Food standard agency in order to
provide good welfare to public Recycling the waste management (Birch and et.al.,2018).
In order to be stable in market the Fish & chip shop needs to comply with all legal
changes. The Food Standard Agencies need to pass laws and regulation in the interest of
public welfare.
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3. Identification and discussion on funding options for monies in relation to Fish & Chip shops.
In the present market there is lot of economic crisis, this is the major factor due to which
the firm is not able to expand their business in the market. In order to cope up with there is not to
make any compromises in the standards of food products (Birch and et.al.,2018). In this manner
there are various funding option available to Fish & Chip shops as follows-
1. The British chamber of commerce found that bank is the most common source of funds
for financing the small business.
2. In order to take loan, it is essential to supply audited accounts of the business so that
providers are able to take the decision in proper manner.
3. Acquiring business loans from non-banking financial corporations (NCFC) or
microfinance companies is another alternative approach for attaining funds.
4. Lastly, considering to associate with government led programs, offering start-up capital
is assistive.
CONCLUSION
Based on the above assignment, it has been concluded that the term business environment
is based on both kind of components namely external and internal factors which can affect the
function of business to a great extent. It generally involves the employees, customers, demand
and supply factors, etc. The present assignment has covered various things with options available
for funding, analytical model using PESTLE to determine the environmental factors affecting the
business. It is with a main aim of bringing changes in customer’s perception about fast-food by
adopting healthy eating habits.
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REFERENCE
Book & Journal
Birch, D and et.al., 2018. Stimulating UK Adolescents’ Seafood Consumption. Journal of
International Food & Agribusiness Marketing. 30(1). pp.61-69.
Goffe, L and et.al., 2018. The challenges of interventions to promote healthier food in
independent takeaways in England: qualitative study of intervention deliverers’
views. BMC public health. 18(1). p.184.
Lake, A.A., 2018. Neighbourhood food environments: food choice, foodscapes and planning for
health. Proceedings of the Nutrition Society. pp.1-8.
Machado, P.P and et.al., 2018. Is food store type associated with the consumption of ultra-
processed food and drink products in Brazil?. Public health nutrition. 21(1). pp.201-209.
Yen, D.A.W and et.al., 2018. Food consumption when travelling abroad: Young Chinese
sojourners' food consumption in the UK. Appetite. 121. pp.198-206.
Online
Fast Food Industry PESTEL Analysis. 2016. [online] Available
through.<https://www.cheshnotes.com/2016/09/fast-food-industry-pestel-analysis/>:
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